Energy watchdog must change its tune

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The timing is unfortunate. Just weeks after lifting heating costs by 15 per cent for a third of the population, British Gas announces a sixfold increase in profits. But it is a vast leap to conclude therefore that BG is profiteering and that its 13 million customers are being ripped off.

The gas market is highly volatile, which means BG’s profits are lumpy. Golden patches produced by a spike down in wholesale prices can be followed by lean times when they rise. The first six months of last year were indeed a plum period for BG: operating margins ballooned to